Three Inside Up Complete Guide
What is Three Inside Up?
The Three Inside Up is a three-candle bullish reversal pattern that typically appears at the end of a downtrend. It is essentially a confirmed Bullish Harami. The formation begins with a long-bodied bearish candle, representing strong selling pressure. The second candle is a smaller bullish candle whose body is completely contained within the real body of the first candle. This 'inside' candle signals that the previous downward momentum is stalling. The third candle is a bullish candle that closes above the second candle's close (and ideally above its high), providing the necessary confirmation that a trend reversal is underway. From a psychological perspective, the first day shows the bears are in control. The second day's small range suggests indecision and a lack of follow-through by sellers. The third day's higher close proves that buyers have regained control. According to Thomas Bulkowski’s 'Encyclopedia of Candlestick Charts,' this pattern has a high theoretical reversal rate, often cited around 65% in bull markets. While volume is not a strict requirement for the pattern's definition, an increase in volume on the third day significantly enhances the reliability of the signal. Steve Nison, who introduced Japanese candlesticks to the West, emphasizes that the Harami (the first two bars) requires confirmation, which the third bar of the Three Inside Up provides. Traders often look for this pattern near established support levels to increase the probability of a successful trade.
Identification Rules
- The market must be in a defined downtrend prior to the pattern formation.
- The first candle must be a long bearish (black or red) candle.
- The second candle must be a bullish candle with a real body contained within the first candle's body.
- Die dritte Kerze muss eine bullische Kerze sein, die über dem Schlusskurs der zweiten Kerze schließt.
References
- Thomas N. Bulkowski (2005). Encyclopedia of Chart Patterns.
- Steve Nison (2001). Japanese Candlestick Charting Techniques.
FAQ
Wie zuverlässig ist das Three Inside Up Muster?
According to Bulkowski's data, it has a reversal rate of approximately 65%, making it one of the more reliable bullish reversal patterns when confirmed by the third bar.
Was ist der Unterschied dazu im Vergleich zu einem Bullish Harami?
Ein Bullish Harami besteht lediglich aus den ersten beiden Kerzen. Das Three Inside Up fügt eine dritte Kerze als Bestätigungssignal hinzu, um Fehlsignale zu reduzieren.
Where should a stop-loss be placed for this pattern?
Eine gängige technische Platzierung für einen Stop-Loss ist unterhalb des Tiefs der ersten langen bärischen Kerze im Muster.
Beeinflusst das Volumen die Validität des Three Inside Up?
Ein Anstieg des Volumens am dritten Tag deutet oft auf eine stärkere Überzeugung der Käufer hin und erhöht die Wahrscheinlichkeit einer nachhaltigen Trendwende.
Can this pattern appear in an uptrend?
Erscheint es in einem Aufwärtstrend, wird es im Allgemeinen eher als Fortsetzungsmuster denn als Umkehrmuster betrachtet, obwohl seine primäre Verwendung in der Identifizierung des Endes eines Abwärtstrends liegt.
More Analysis
Parts of this page (FAQ, introductions) are AI-assisted. Core data and statistics are algorithmically computed. All pattern definitions are human-reviewed.
Haftungsausschluss: Diese Seite basiert auf öffentlichen Marktdaten und algorithmischer technischer Analyse. Sie stellt keine Anlageberatung dar.
Data source: EODHD · © 2026 KlineVision AI